Hawthorne v Carter (Trustee), in the matter of Hawthorne (Bankrupt) [2006] FCA 1097

FEDERAL COURT OF AUSTRALIA

Hawthorne v Carter (Trustee), in the matter of Hawthorne (Bankrupt) [2006] FCA 1097 BANKRUPTCY – application for annulment of bankruptcy – certain facts not disclosed to Court at time sequestration orders made – applicants solvent HELD – the bankruptcies of the applicants were annulled PETER ANTON HAWTHORNE AND MERVYN DOUGLAS HAWTHORNE v BRUCE JAMES CARTER AS TRUSTEE OF THE BANKRUPT ESTATES OF PETER ANTON HAWTHORNE AND MERVYN DOUGLAS HAWTHORNE SAD 116 OF 2006

MANSFIELD J

26 JULY 2006

ADELAIDE

IN THE FEDERAL COURT OF AUSTRALIA

SOUTH AUSTRALIA DISTRICT REGISTRY SAD 116 OF 2006

BETWEEN: PETER ANTON HAWTHORNE

First Applicant

MERVYN DOUGLAS HAWTHORNE

Second Applicant

AND: BRUCE JAMES CARTER AS TRUSTEE OF THE BANKRUPT ESTATES OF PETER ANTON HAWTHORNE AND MERVYN DOUGLAS HAWTHORNE

Respondent

JUDGE: MANSFIELD J

DATE OF ORDER: 26 JULY 2006

WHERE MADE: ADELAIDE

THE COURT ORDERS THAT:

(1) The bankruptcy of the applicant Peter Anton Hawthorne and the bankruptcy of the applicant Mervyn Douglas Hawthorne be and are hereby annulled. (2) The respondent be entitled to his reasonable fees, costs and disbursements of his administration of the said bankrupt estates, including the reasonable fees and disbursements of his solicitors in relation to these proceedings. (3) Notwithstanding order (1) hereof, the respondent be entitled to retain and deal with the moneys presently held by him as trustee of the said bankrupt estates and to receive and retain the proceeds of the sale of shares which he has sold as trustee of the said bankrupt estates, and the respondent is directed to deal with the said funds in the following manner: (i) to pay to the applicants by 4:00 pm on 31 July 2006 such amount of the said funds as the respondent reasonably determines will constitute surplus moneys after the payments in subparagraphs (ii), (iii) and (iv) hereof; (ii) by 4 pm on 11 August 2006 to pay the following amounts to the following creditors of the applicants to the extent to which the applicants have not already paid those amounts, or some of them: ATO $ 2,416.00 (allowing credit for fuel rebate)